There are many benefits to downsize, below are just a few:
Financial rewards - downsizing can release capital tied up in your home to help fund your lifestyle. Depending on your circumstances, you may be able to boost your superannuation and receive tax free income. If you are an age pensioner though, you may need to weigh up the impact on your age pension payments.
Freedom - keeping a house and garden can involve quite a lot of work. It also is not as easy to just lock up and go away. Someone needs to maintain the property. A unit or townhouse is easier. Having less maintenance could free you up to travel or spend more time with your loved ones.
Family - downsizing to be near family can help make spending time with loved ones easier. Less travel usually means more visits. You might be able to have the little ones over to add some laughter around the home.
Friends - downsizing can bring new friends or rekindle old ones. You could move somewhere with lots of activities that you enjoy where you will make new friends or you could move closer to old friends. Obviously, if your friends are all around your existing home, downsizing in the same area might be more about releasing cash flow.
reFresh - sometimes we watch those home renovation shows on TV and would like to refresh our home but it is just too big a project. Downsizing could free up capital to have a professional decorate your home and make your treasures shine.